‘ISPs set to hike service charges soon’

09/01/2019

KUWAIT CITY, Jan 8: Internet Service Providers and communication companies are about to increase their service charges to the public in the coming days after the Ministry of Communication increased the rents for its facilities, including antennas used by the companies in various ministry locations, reports Al-Jarida daily.

The daily quoting sources affirmed that the Ministry of Communication will compel the main internet companies to increase charges for their services provided to the public in order to cover the financial cost which has reached 400 percent in some affiliated locations of the ministry, especially as the decision came out of the blue without notifying the owners of internet companies.

Sources indicated some of the companies, based on this decision, will find themselves compelled to pay rent value of KD500 thousand annually for sites they have been using for years through an agreement with the Ministry of Communication. They explained the decision to increase the rent of internet companies will come into effect in the current month after publishing it in the Official Gazette “Kuwait Today” issued on Dec 30, 2018.

As per the new charges, a meter square in the Liberation Tower has been increased from KD 4 to KD 20, and from KD 15 to KD 20 in other substations or switchboards, while the monthly rent of areas in the communication complex will be KD 250 for the first meter square, and KD 20 for extra meter square.

They expected the decision will compel the internet providers and companies to increase the charges of their services in general, especially as the decision came without prior notice.

Nonetheless, stakeholders are due to hold a meeting in the course of the week to discuss this new development and strive to find solutions to preserve the rights of concerned companies